Sirius XM plans bankruptcy

Special Report:Global Financial Crisis

BEIJING, Feb. 11 (Chinese medianet) -- Sirius XM satellite

radio is working with advisers in possible preparation to file bankruptcy, the

U.S. media reported Wednesday.

Sirius XM Radio, Inc., operating from its corporate

headquarters in New York City's Rockefeller Center, has been working with the

restructuring expert Joseph A. Bondi of Alvarez Marsal and the bankruptcy

lawyer Mark Thompson of Simpson, Thatcher Bartlett on preparing a Chapter

11 filing.

"The documents and analysis are close to being

completed and a filing could come within days," the media reportssaid.

The move could put pressure on EchoStar (SATS), a

digital media equipment company, to make a bid for Sirius,the media

reportsadded.

EchoStar CEO Charlie Ergen recently acquired a

majority of a 300 million dollars tranche of Sirius debt that matures next

Tuesday.

The reports added that Sirius, with more than 5

billion dollars in assets, would be second-largest company to file for Chapter

11 bankruptcy protection so far this year.

The largest so far has been the Smurfit-Stone

Container Corporation with 7 billion dollars in assets, which filed for

bankruptcy in January.

Sirius XM Radio, Inc. is the holding company for two

satellite radio services (SDARS) operating in the United States and Canada,

Sirius Satellite Radio and XM Satellite Radio, the reports indroduced, adding

the two parent companies completed their merger on July 29, 2008.

(Source: Agencies)